Mother-of-two Liliane Derden, 50, was one of 28 Australians who were among the 298 passengers aboard the flight from Amsterdam that was shot down near the Ukraine and Russian border.

Through a family friend, Ms Derden's family confirmed her identity and requested privacy as the wider family and friends were informed. Ms Derden, a public servant, was from the north of Canberra.

She worked for the National Health & Medical Research Council, which issued the following statement: 

"The CEO and staff of the NHMRC are deeply saddened by the loss of our valued colleague and friend. Our thoughts are with her family and friends in this difficult time.''

Earlier, acting ACT Chief Minister Andrew Barr confirmed the news of an ACT resident's death after receiving a phone call from the Prime Minister's office.

"It's obviously devastating news for family and friends of an ACT resident and indeed our sympathies go to not only the families here in the ACT who are impacted but around Australia and all over the world,'' Mr Barr said.

"It's a great tragedy and it's hitting home here locally.''

Prime Minister Tony Abbott has announced that flags at government buildings will fly at half-mast tomorrow and a national day of mourning and commemorative service will be held for victims at a later date.

Flags throughout Canberra will fly at half mast from dawn until dusk on Saturday. 

The Catholic Archbishop of Canberra and Goulburn Christopher Prowse has called for a minute of silence in ACT workplaces to remember the local victim of the crash as well as others on board.

He said he “was especially saddened to hear that one of the victims is a Canberran. Our prayers go out for all the victims and their families at this terrible time.”